Adelphia Creditors Ask Judge to Liquidate Cable Company
PNC Bank and other Adelphia Communications Corp. creditors asked a judge to liquidate the company and its affiliates to speed payments to all creditors.
Wachovia Corp., Calyon, PNC and others asked U.S. Bankruptcy Judge Robert Gerber in New York to convert the bankruptcy cases of Adelphia and some affiliates to a Chapter 7 liquidation. A court- appointed trustee would oversee the liquidation of the cable TV operator and develop a plan to distribute proceeds to creditors.
The move would accelerate the end of Adelphia's case and allow stakeholders to be paid more quickly, the creditors said in papers filed Friday in Bankruptcy Court in New York. Adelphia's pursuit of its own plan has been slowed by a dispute between creditor groups over how to distribute the proceeds of the company's $17.6 billion asset sale to Time Warner Inc. and Comcast Corp.
"There is no just cause for continued delay to the distribution of cash," Andrew Brozman, a lawyer for Calyon, the investment- banking arm of Paris-based Credit Agricole SA, France's biggest bank, said in court papers. …